The LE7EL Whitepaper

Introduction

Before you read: In this article we refer to concepts such as on-chain domains and levels. Dig deeper on those concepts and our Polygon grant here. Furthermore, the LE7EL network has integrations with Unreal Engine tools for developing and publishing games, and Creator tools for growing gaming communities. This article focuses on the LE7EL network with a surface level explanation of its integrations.

The LE7EL network is a Web3 gaming infrastructure layer that sets out to power the next generation games through its unique combination of decentralization, UX abstraction techniques and AI use.

Imagine a world where you can:

• Build and publish your own game an order of magnitude easier, cheaper and faster than before, while retaining full control over your app, brand and economy;
• Offer a Web2 level user experience to your gamers, while preserving the power of Web3 native features;
• Bring in players easily by publishing quests and placing portals to your game in other complementary games in independent front-ends;
• All while operating on end-to-end decentralized infrastructure, to ensure that nobody can put your creations, users or economy at risk.

If you’re a gamer, imagine an interconnected universe of games and worlds with strong digital property rights and sustainable revenue share models, that just feels way more fun, intuitive and easy to use than other Web3 alternatives, and way more secure and economically viable than any Web2 alternatives.

Mission

Publishing platforms take excessive revenue share. It’s expensive and time consuming to build a game that’s truly yours. Looking to adopt some of the unique capabilities of Web3? Accept an insane conversion and adoption tradeoff as a result of the current Web3 UX. Bringing in players is super hard. Servers are costly and have significant censorship risks. Your assets can’t be utilized cross-app, and can disappear the next day. Your private data gets abused and sold. You don’t get anything of monetary value back from spending your precious time.

This is all solvable with the right designs, technical solutions and a community of engaged stakeholders. As such, the LE7EL network has set out to achieve the following goals;

• Mitigate excessive value extraction by game publishing platforms;
• Reduce server expenses and censorship risk for game creators;
• Streamline user onboarding by providing interoperability and optional interconnection between games;
• Eliminate collection and monetization of private user data;
• Balance the interests of all network stakeholders and ensure a fair value distribution between them;
• Increase the productivity, user experience and access for all network stakeholders by integrating with carefully chosen game engines, SDKs, wallets and AI tools.

At the heart of the network is the $L7L token, used to incentivize and distribute value fairly between stakeholders that produce value in the network, ultimately ensuring:

• Optimization of network value instead of shareholder value;
• Cost reduction by transforming all network stakeholders into contributors, eliminating intermediaries;
• Increased user engagement through co-creation and co-ownership.

Stakeholders

Let’s start with defining the network’s key stakeholders. The main stakeholders of the LE7EL network are Players, Creators, Contributors and Operators.

Players are having fun playing games and are the main beneficiaries of the LE7EL network. All other participants are providing them the means for having that fun. Players are also the ultimate source of income for all other stakeholders.

Creators provide content by building and publishing games and fun experiences. Anyone can be a Creator and publish games on the LE7EL network, using the game engines, SDKs and tools that the network have integrated with.

Contributors develop and maintain the software all the other stakeholders need to be productive in the network.

Operators provide the server infrastructure that powers games.

User Experience

The LE7EL network’s architecture is designed to balance a seamless user experience with a robust, decentralized infrastructure necessary for secure and scalable gaming on blockchain rails. Here, we’ll explore the user experience from both the Player and Creator perspectives, as well as the technical architecture that supports these interactions.

Players

The focus is to empower Creators to deliver high-quality gaming experiences to Players with blockchain elements integrated seamlessly in the background. This ensures that gameplay remains engaging and enjoyable without the distractions of complex Web3 operations.

1. Web app and launcher: You as a Player can access the LE7EL ecosystem through our web app or dedicated desktop/mobile launcher. The launcher and web app includes whitelabel options, allowing Creators to have their own front-ends if they want. You can sign up using familiar OAuth methods like Google or Facebook, lowering the barrier to enter LE7EL powered games.

2. Avatars: Using LE7EL’s avatar constructor, you can make your own meta-avatar that can be used across all games that support it. For games that don’t support it for various reasons, you can easily make a dedicated avatar specifically for that game.

3. Gasless transactions: LE7EL incorporates sybil resistant gas subsidies based on your (off-chain) level, allowing you to interact with the blockchain without worrying about gas fees. Transactions feel instant and free.

4. Fiat-to-crypto bridge: You can purchase in-game assets and off-chain $L7L using a credit card, which can then be converted to on-chain assets seamlessly, typically when you want to perform an on-chain action like trading your items. This bridge makes the transition from traditional currencies to cryptocurrencies smooth.

5. Biometric security: When you need to perform any on-chain action, the integrated mobile wallet utilizes phone biometric authentication for access and transaction verification. This provides high security without the complexity of managing passwords or seed phrases.

6. Automated synchronization: Game activities are automatically synced on-chain at the end of each game session, or when you want to — depending on the scenario. This ensures that your achievements and assets are securely recorded without unnecessary blockchain interactions.

7. Unified currency system: Off-chain $L7L is used across all transactions within the LE7EL ecosystem, simplifying financial interactions. On-chain $L7L is required for peer-to-peer trades and external transfers for security purposes. While individual games can have their own tokens for specific uses, $L7L remains the primary transaction currency to avoid fragmentation in the user experience.

8. Interoperability: Wallets, avatars, collectibles, and badges can be used across any EVM-powered game that supports them, promoting interoperability within and outside the LE7EL ecosystem.

Creators

Creators download the software development kit (SDK) and game client from LE7EL’s website to begin building or forking games.

1. Build or fork a game: Using the LE7EL SDK and Client, or any other supported tool, you can build games from scratch or use templates and in-game editors built by LE7EL contributors. This flexibility allows both professionals and amateurs to get creative and produce valuable content for the ecosystem.

2. Publish your game: With the DGP protocol, you can fund, publish and distribute your game without relying on centralized platforms, retaining full ownership and control over your content, while earning $L7L in the process. Games can be published on the LE7EL launcher, either under the LE7EL brand or as a whitelabel project. You can choose between desktop and lightweight mobile launchers & clients.

3. Set permissions: Define permissions for supported front-ends, portal placements, and forkability to manage access and collaboration. This ensures that the right users have access to the right functionalities.

4. Set monetization: Configure game passes, in-game items, and inventory. Choose type of revenue capture and beneficiary (e.g. a wallet, smart contract, multisig or DAO), supporting various monetization strategies and beneficiaries.

5. Set visibility and invite friends: Control the visibility settings of the game and invite your audience to participate.

6. Implement ready to use tools: Use plugins such as our creator tools to grow your community and wallet for seamless player onboarding, as well as any other plugins built by independent contributors.

6. Off-ramp options: Export your creations for usage elsewhere, providing security and flexibility in asset management and utilization.

Technical Architecture

Along with carefully selected integrations, LE7EL’s architecture relies heavily on a network of decentralized servers, its own blockchain and smart contracts. The goal is to reduce server costs and censorship risks while maintaining high availability, flexible customization and native value capture across LE7EL powered games.

1. Node operators: Node operators provide the server infrastructure for gameplay, earning rewards based on hardware utilization and network performance.

2. Smart contracts and gas fees: Smart contracts handle transaction processing and fee capture, ensuring transparency and efficiency. Gas fees and other transaction costs are minimized for the users through the use of gas subsidies and gas caps.

3. Interoperability standards: The architecture supports interoperability with EVM-compatible chains, allowing its games, game assets, wallets and identities to be used across and exported to different games and platforms. This promotes a seamless user experience, security of user assets and broadens the usability of the LE7EL ecosystem.

4. On-chain domains and levels: On-chain domains represent users’ on-chain reputation and are used for reward distribution based on tracked valuable actions. Levels within these domains help in tracking contributions and interactions, while being possible to utilize in an interoperable way by anyone.

5. Integrated tools: A unified wallet system allows for easy management of cryptocurrencies and in-game assets across any game. Integrated payment systems support on- and offramp to and from crypto. Integrated SDK’s and whitelabel launchers enable Creators to spend more time getting creative and less time dealing with building their own stack from scratch.

By integrating seamless features on top of robust decentralized infrastructure, the LE7EL network aims to power a highly productive, user-friendly, secure and scalable gaming ecosystem that leverages the best of Web3 technology while maintaining the ease of use found in traditional Web2 apps.

AI utilization

The LE7EL Network is committed to leveraging decentralized AI to enhance various aspects of its gaming infrastructure and user experience:

1.Enhanced user experience: AI-driven personalization will tailor gaming experiences to individual players. By analyzing player behavior and preferences, AI will be able to recommend games, in-game items, and personalized quests, making the gaming experience more engaging and enjoyable.

2. Improved game development: AI tools will assist creators in developing games more efficiently. This includes procedural content generation, where AI can create complex game worlds, characters, and storylines, significantly reducing the time and resources required for game development. Additionally, AI can assist in testing and debugging, identifying issues more quickly than traditional methods.

3. Smart NPCs and dynamic environments: Non-player characters (NPCs) and game environments will become more dynamic and responsive. NPCs will exhibit more realistic behaviors and interactions, enhancing immersion. AI-driven environments will adapt to player actions, providing more interactive and evolving gaming worlds.

4. Security and fraud prevention: AI will play a crucial role in enhancing security within the LE7EL network. Machine learning algorithms will detect and prevent fraudulent activities by analyzing transaction patterns and user behavior. This helps maintain a secure environment for both players and creators.

5. Efficient resource management: AI will optimize server management and resource allocation. By predicting server loads and managing resources dynamically, AI ensures a smooth and uninterrupted gaming experience. This also helps reduce operational costs and improve the network’s scalability.

6. Community engagement and support: AI-powered chatbots and virtual assistants will provide 24/7 support to the LE7EL community. These AI tools can answer queries, guide new users, and provide technical assistance, improving overall community engagement and satisfaction.

7. Data-driven decision making: AI will analyze large volumes of data generated by the network to provide insights and support decision-making processes. This includes understanding market trends, player preferences, and identifying opportunities for growth and improvement within the network.

By integrating these AI capabilities, the LE7EL Network aims to create a more immersive, efficient, and secure user experience.

Economy

Let’s study the economy between the stakeholders of the LE7EL network.

Creators have different ways to monetize their games, with the primary way being direct sales of game passes or in-game items. Players have the option to buy these items using a credit card or $L7L. If $L7L is used, a discount is granted due to the elimination of credit card payment fees. The LE7EL network charges Creators $L7L based on their utilization of network server nodes and a 5 % commission on game passes or items. Creators can also use $L7L to buy and sell native ads in form of in-game portals that send and receive Player traffic between their games, as well as to buy exposure in supported front-ends such as the LE7EL web app.

LE7EL allows Creators to convert their games into NFTs, equivalent to an ownership title for a game and can be sold, lent, rented, divided, or even transferred to a community using DAO ownership and tokenization. When doing such a conversion, the game Creator legally transfers all the intellectual property for the game to the holder of the domain.

Players can convert their items such as avatars to NFTs as well, enjoying being able to sell, lend, and rent their avatars. Other than obvious monetary benefits, it offers significant flexibility. Retired Players can gift or sell their avatars to their guild, or multiple Players can develop the same avatar in a secure manner.

Contributors develop and maintain the tools that the network stakeholders utilizes, and receives $L7L rewards in return that are spent to cover their development costs. Contributors need to bond a certain amount of $L7L to stay whitelisted as a Contributor.

Operators participate in this economy indirectly by providing server infrastructure to Players and Creators, bearing the ongoing cost of network maintenance. Decentralizing game servers is important for reducing the costs associated with using corporate data centers across the globe or using cloud providers. Rewards to server Operators are distributed pro-rata based on hardware utilization by Players and Creators, with 10% of the reward amount allocated for participation, regardless of usage, if the minimum performance and uptime threshold is honored. Operators can bond $L7L to increase the chance of hardware utilization when the network load is small, with a minimum bond of a certain amount of $L7L being mandatory for all Operators to prevent fraud.

Network Incentives

For any stakeholder to receive rewards, they need to mint an on-chain NFT domain and pay a yearly $L7L renewal fee to the network. The on-chain domains embody a concept called “levels” which essentially is the domain owner’s on-chain reputation, based on tracked or performed on-chain actions that are considered valuable by the network, such as time spent in-game, transactional volume or hardware utilization. These levels are measured in $PXP and ultimately utilized for distributing rewards fairly among all network participants, and they all base themselves on metrics that the network has reached consensus on.

$L7L earned from domain lease fees, server node fees, gas fees, fees on sales of game passes or items, and the yearly $L7L network inflation, will continuously pour into four reward pools split evenly between Players, Contributors, Creators and Operators.

These stakeholders will get their share of rewards pro-rata based on their domain level.

These core principles will apply to future sources of transactional income as well. For instance, if LE7EL launches a secondary marketplace for digital assets, trading commissions and royalties will pour $L7L back into the reward pools.

Supply, Demand, and Utility

The core utility of $L7L is being a payment medium that incentivizes necessary actions and distributes value among the core stakeholders of the LE7EL network.

The demand side of $L7L is driven by the following factors:

• Players spend $L7L to pay for game passes or in-game items;
• Creators spend $L7L to pay for transaction commissions, node network fees and portals placed in other games to attract traffic to their game;
• Contributors bond $L7L to stay whitelisted as a contributor;
• Operators bond $L7L to run server nodes;
• All stakeholders spend $L7L to pay for domain lease fees.

The supply side of $L7L is based on the following:

• Creators get rewards for making games and charging players for in-game items in $L7L;
• Players get rewards for playing games and spending $L7L for in-game items;
• Contributors get rewards for making software that all other stakeholders need;
• Operators get rewards for running server nodes.

Distribution

$L7L has a max supply of 1B, with the following allocation:

The tokens are issued according to the following chart:

Governance

To achieve end-to-end decentralization of the network, the network will incrementally decentralize the following four parts:

• Code
• Ownership
• Servers
• Governance

The network will avoid classic token voting, using a four-chamber parliament instead, with support for delegating your vote. Stakeholders vote with their NFT domains — the higher the level of their domain, the more impactful their vote will be. The proposal requires approval from at least three chambers to be binding.

The goal is to use formal governance only to tune the network’s economic parameters and align the whole LE7EL community on its vision and strategy.

Join the LE7EL Network?

If you have any questions or input, or looking to join the network as a Player, Creator, Contributor or Operator, please reach out to us in our Discord server: https://discord.gg/le7el

Thanks for reading the LE7EL Whitepaper!

— The LE7EL team